Finance minister urges banks to strengthen cyber defence

Islamabad: Federal Minister for Finance and Revenue Muhammad Aurangzeb chaired a virtual meeting with presidents and chief executive officers of commercial banks and their chief information security officers to review cybersecurity preparedness in Pakistan’s financial sector amid emerging technological risks and changing threat patterns.

According to the details shared from the meeting, the minister praised the participation of financial institutions, regulators and technical experts, and stressed that coordinated action was essential to protect critical financial infrastructure. He said that as Pakistan’s financial system becomes increasingly digital, cyber resilience must remain a key policy priority.

Participants were given a detailed presentation on the changing cyber threat environment, including the increasing sophistication of AI-enabled cyber tools that can identify weaknesses, create exploits and carry out multi-stage attacks at very high speed. The briefing pointed to possible vulnerabilities across digital banking channels, payment systems and core financial infrastructure, while underlining the need for greater vigilance and preparedness.

The discussion also referred to international experience, including recent cyber risk trends in Japan and India, where financial systems have faced growing exposure to attacks aimed at digital payment platforms and interconnected networks. Participants said these developments offered useful lessons for improving Pakistan’s defensive capacity and institutional readiness.

Those attending the meeting were also briefed on international policy responses to AI-driven cyber risks. It was noted that finance ministries and central banks around the world are increasingly treating these developments as high-priority systemic concerns and are engaging through coordinated high-level forums, including the IMF-World Bank Spring Meetings and bilateral consultations with major financial institutions.

The meeting noted that Pakistan’s ongoing engagement on these issues is in line with global efforts to strengthen next-generation financial infrastructure, improve cyber resilience and encourage responsible innovation.

Participants discussed ways to improve coordination among regulators, financial institutions and other stakeholders, while also strengthening governance frameworks and aligning cybersecurity policies with evolving global standards. The discussion focused on improving threat intelligence sharing, addressing vulnerabilities in legacy systems and using emerging technologies to strengthen detection and response mechanisms.

He also stressed the need for close coordination among regulatory authorities, financial institutions and technical teams to prepare practical recommendations aimed at improving the banking sector’s cybersecurity posture.

Separate meeting on REITs and capital market

Separately, Aurangzeb chaired another virtual meeting of a focus group set up to promote Real Estate Investment Trusts and support capital market development. The meeting was attended by business figures including Arif Habib, Nadeem Riaz and Ali Jameel, along with officials from the public and private sectors.

During that discussion, the finance minister said REITs offer a transparent and structured way to redirect real estate investment toward productive sectors of the economy. He said this could help improve documentation and strengthen the formal inclusion of the construction and development sectors.

The participants also held detailed discussions on improving the tax regime related to REITs, simplifying procedures and expanding investor participation, particularly among small investors.